BANKING
 [%fvPw%] [%dkqb%] [%xTkw%] 
Research by HLIB
Neutral

“Still missing some spots”

System loans growth tapered to +5.8% YoY but deposits stayed steady at +4.9% YoY. That said, leading indicators decelerated and GIL was stable. For NIM, we expect it to remain largely firm in 2Q24 as banks are becoming more discipline in pricing new loans and also, FD competition is now less intense. Overall, the risk-reward profile for the sector is still balanced as there are no fresh positive catalysts to spur share prices much higher. Keep NEUTRAL; BUY calls include: Public, AMMB, and Alliance.

Analyst(s):
Chan Jit Hoong, CFA, CPA
[%hyQH%]

BANKING
 $KLSE-PBBANK $KLSE-AMBANK $KLSE-ABMB 
Research by HLIB
Neutral

“Still missing some spots”

System loans growth tapered to +5.8% YoY but deposits stayed steady at +4.9% YoY. That said, leading indicators decelerated and GIL was stable. For NIM, we expect it to remain largely firm in 2Q24 as banks are becoming more discipline in pricing new loans and also, FD competition is now less intense. Overall, the risk-reward profile for the sector is still balanced as there are no fresh positive catalysts to spur share prices much higher. Keep NEUTRAL; BUY calls include: Public, AMMB, and Alliance.

Analyst(s):
Chan Jit Hoong, CFA, CPA
jhchan@hlib.hongleong.com.my

$ABMB / 2488 (ALLIANCE BANK MALAYSIA BERHAD)